Asian Bond Markets Still Have a Long Road Ahead

Asia’s bond market is finally having its moment in the sun amid a record year of issuance, but the region’s main capital markets association thinks there’s still much more work to be done.

Mark Austen, chief executive of the Asia Securities Industry & Financial Markets Association, told Deal Journal in an interview that while the explosion in bond issuance in Asia this year is a healthy sign for the region’s capital markets, as companies slowly shift away from bank lending, we are just seeing the “tip of the iceberg.”

“The issuance that’s going on is extremely positive. A lot of it is replacing bank lending, but there are a lot of technical issues that still need to be overcome,” said Mr. Austen.